Anti-Money Laundering (AML) Compliance in the UAE

<b>Category</b>;<b>Violation</b>;<b>Fine (AED)</b>

<b>Customer Due Diligence (CDD)</b>;Failure to conduct Customer Due Diligence before establishing a business relationship;100,000 ;Failure to undertake due diligence measures for low-risk scenarios;50,000 ;Failure to conduct Enhanced Due Diligence (EDD) for high-risk customers;200,000 ;Failure to understand the purpose and nature of the business relationship;50,000 ;Failure to understand the customer’s business and ownership structure;50,000 ;Failure to conduct due diligence on Politically Exposed Persons (PEPs);100,000 <b>Suspicious Transaction Reporting</b>;Failure to notify the Financial Intelligence Unit (FIU) of suspicious transactions;200,000 ;Delay in notifying the FIU of suspicious transactions;100,000 ;Tipping off a customer about the submission of a suspicious transaction report (STR);200,000 <b>Internal Controls and Governance</b>;Failure to implement internal AML/CFT policies and procedures;50,000 ;Failure to appoint a Compliance Officer or Money Laundering Reporting Officer (MLRO);50,000 ;Failure to train employees on AML/CFT procedures;50,000 ;Failure to identify and assess AML/CFT risks related to the nature of the business or new products;100,000 <b>Record Keeping and Monitoring</b>;Failure to maintain records and documents for the minimum required 5-year period;50,000 <b>Sanctions Compliance</b>;Failure to screen and act on names in domestic or international sanctions lists before doing business;1,000,000 <b>Prohibited Financial Practices</b>;Dealing with shell banks;1,000,000 ;Opening or maintaining accounts with fictitious names or numbered accounts without proper identity information;1,000,000